Online retailer Amazon said Wednesday it had reached agreement with publisher Penguin on pricing of electronic books for the Kindle e-reader.

Terms of the agreement were not disclosed and Penguin did not immediately reply to an inquiry from AFP.

The Seattle, Washington-based Amazon and Penguin, which is owned by media group Pearson PLC of Britain, have been locked in a dispute over digital book prices which saw Penguin stop supplying Amazon with new titles last month.

"We have an agreement with Penguin and will soon be offering their complete selection of digital books to Kindle customers," an Amazon spokeswoman said in a statement.

With the arrival last month of Apple's iPad, which features an e-reader and an online bookstore, a number of publishers have been seeking to renegotiate their deals with Amazon, which set prices for new releases for the Kindle at 9.99 dollars.

Just days after the wraps were taken off the iPad, Macmillan informed Amazon it wanted to begin charging between 12.99 and 14.99 dollars for e-book versions of most hardcover new releases and bestsellers.

Macmillan said it would give Amazon a 30-percent cut, as with Apple.

Amazon protested, temporarily pulling Macmillan titles -- both print and e-books -- from its online bookstore, but ultimately gave in.

Another major publisher, Hachette Book Group, quickly followed Macmillan.